POLITICS

Strike wave looming in province - COSATU WCape

Tony Ehrenreich says unsubstantiated claims of business leaders (and Loane Sharp) have set stage for renewed conflict

COSATU to Announce Strike Wave for Western Cape

COSATU will be having a press conference on wage negotiations and strike action on Wednesday 10 July 2013 at 11h00, at Community House, 41 Salt River Road, Salt River.

The deepening levels of poverty and inequality due to unemployment and low wages have seen 2 Industries explode in protest and violence last year. There is a real danger of this phenomenon repeating itself this year and spreading to more Industries. The entire society agrees that we must find ways in which to avoid this and the Deputy President is working with the parties to find solutions.  

The attitude of Business leaders and advisors are however taking us to the brink of renewed conflict with their unsubstantiated claims in relation to the economy.   The claims presented by business leaders set the context for the engagements and makes the finding of solutions even more difficult, as it disregards the difficulties of working class communities.

An example of this is where Loane Sharp, the Adcorp economist, claims that Labour productivity has declined by 41% since 1993. This is in direct conflict with the Reserve Bank's own figures that says Labour productivity has increased by 70% since 1994. These assumptions in the economy are fundamental and will lead to conflict and strikes if clarity is not sought. Leading economist across the economic spectrum has rejected Mr Sharp's calculations and described it as nonsense.  The sentiments that Adcorp presents is however shared by the National Employers Association of SA, as well as by the Deputy  President of SA  who in a speech at the Wits Business school quoted Sharp's figures of a 40% decline in productivity.

This voodoo economics of Mr Sharp will see growing levels of strike action across the country due to the parties having such divergent views. This is a reckless statement that should be clarified by Government so that we have a common reading of the information and facts that affect the South African economy.

It is also the voodoo economics of Sharp that guides the DA policy on economic matters as they thanked him in one of their economic position papers.

This kind of attitude will see increased strike actions in the W Cape, as workers are committed to fighting the growing levels of inequality in the W Cape economy. The attack on workers' rights by the Cape Chamber of Commerce and Industry, whose chair of the human resources committee calls for the removal of Labour Laws on bill boards on the freeway, will lead to Industrial relations tensions in the W Cape. This collusion between the DA and CCCI against workers is unacceptable and for them to try and construct an illogical economic model to justify this, will only lead to further strikes in Western Cape.    

COSATU in the W Cape will be completely dismissive of the employer's plight if the Adcorp sentiments are presented in wage negotiations, and, we will declare disputes and go on strike without further engagement on this nonsense.

All of our unions will be at the press conference and will outline their negotiation plans for 2013 and their desire to use wage bargaining as a key means of redistributing wealth across the economy.

We as workers are tired of the blatant exploitation across the economy, as reflected in the growing levels of inequality and will be challenging this in negotiations this year. However, bosses are warned that to add insult to injury by presenting the kind of voodoo economics of Adcorp will see immediate strike action in those sectors.

The COSATU members will be demanding minimum wages of R4500 per month and increases above 10%, so that real improvements in the relative position of workers are achieved.

Statement issued by COSATU Western Cape Provincial Secretary, Tony Ehrenreich, July 9 2013

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